Tinubu forms committee to address N1.5tn contractor debt backlog
President Bola Tinubu has set up a special committee to resolve the large backlog of unpaid federal contractor debts. The move follows his strong dissatisfaction expressed during a Federal Executive Council meeting on June 5, 2025. The committee, made up of key ministers and officials, is tasked with finding solutions to pay about 2,000 contractors who are owed. This action comes after weeks of pressure from contractors and ongoing issues with overlapping budgets.
TLDR
- Bola Tinubu ordered the creation of a high-level committee on June 5, 2025 to address unpaid contractor debts totaling around N1.5tn.
- The committee includes ministers of finance, works, education, housing, and other top officials.
- About 2,000 contractors are owed, with some payments delayed since the previous year.
- The government is considering borrowing to settle the debts and resolve budget carry-overs.
- Recent protests and budget complications have increased pressure on the administration to act quickly.
